Center for Social Information Sciences (CSIS) Seminar
Abstract: Major energy markets such as California have mandates for 100% of their energy to be produced from renewable sources by the 2040s. However, their variability and non-dispatchability pose an existential challenge to the existing system of energy markets in enabling efficient and reliable procurement of electricity. In this talk we investigate the critical failures of markets with very high penetrations of renewables and discuss how ancillary services may be augmented to mitigate them. Particular attention is paid to the zero-marginal-cost problem of renewables and their inability to respond to market incentives.